Precious metals posted one of their sharpest weekly corrections in recent months, driven primarily by a stronger-than-expected US employment report that reset rate expectations and drove the dollar sharply higher towards the 100 mark.

Gold and silver closed the week trading weak with a negative bias. The dominant macro narrative centred on the evolving US–Iran conflict and firmer US inflation data, which together kept bullion on the defensive

Gold prices slipped below $4,700 and silver below $80, retracing a portion of last week’s gains after President Trump publicly rejected Iran’s diplomatic response as “TOTALLY UNACCEPTABLE,” keeping inflationary concerns elevated.

Gold and Silver faced a week defined by the hawkish Fed-oil-inflation feedback loop suppressing rate-cut expectations, partially offset by yen-driven dollar weakness. MCX prices held relatively firm versus COMEX due to rupee depreciation. Physical demand and central bank buying remain structurally supportive, but near-term direction hinges on Hormuz diplomacy, incoming US payrolls (May 8), and the trajectory of real yields under incoming Fed Chair Warsh.

The bullion market faces competing forces: US–Iran tensions at the Strait of Hormuz provide geopolitical support, while a stronger dollar, elevated Treasury yields, and prolonged Fed rate tightness suppress prices.

Gold and silver prices weakened at the start of the week as the U.S.-Iran ceasefire, which markets had welcomed, began to unravel. The extended conflict has disrupted energy supply significantly, increasing inflation risks and raising expectations of further central bank interest rate increases — both of which are negative factors for precious metals

Gold and silver are under pressure at the start of this week, reversing last week’s gains. The trigger is a sharp escalation in the US-Iran standoff — with Washington announcing plans to blockade the Strait of Hormuz following the collapse of weekend peace talks in Pakistan.

Precious metal prices have extended losses as President Donald Trump issued a fresh ultimatum to Iran and warned of strikes on its power plants and other civilian infrastructure if the Strait of Hormuz is not reopened.

Gold and silver remained volatile as Middle East tensions and inflation concerns drove early gains, offset by a strong dollar and rising yields. Mixed U.S. data kept Fed rate-cut hopes subdued. Weak ETF flows, Central bank selling and physical demand capped upside, while oversold conditions supported dip-buying. Prices are expected to remain range-bound.

Gold and silver plunged ~11% and ~15%, driven by liquidity-driven selling, CTA unwinding, dollar strength, and hawkish rate repricing. Despite geopolitical tensions, rising yields limited safe-haven demand. Prices tested key supports ($4500 gold, $65 silver) with a technical rebound likely. Further downside remains possible, but oversold conditions may trigger short-covering.

Gold prices have established support at approximately $5000, while silver has stabilized near the $80 mark. The U.S. dollar has strengthened substantially, breaking above the 100 Index level. This appreciation reflects investor preference for dollar-denominated assets as geopolitical uncertainty intensifies in the Middle East.

Gold and silver have started the week on a strong footing, a move that was widely anticipated as investors rushed toward traditional safe-haven assets amid a sharp escalation in geopolitical tensions in West Asia.